Victorian Owners Corporation Reforms Under Review

The Victorian Government’s review of strata laws signals a major shift in how shared living is governed. The proposed reforms aim to create a fairer and more transparent framework for managing shared properties across the state.

A Deep Dive into OC Reform

The review explores seven key areas that could reshape the rights and responsibilities of owners:

• Strata Governance: Is the 2021-tiered system working? Are committee undertakings transparent and accountable for all owners?
• Short-Stay Rentals: Are current rules strong enough to curb disruptive guests and protect residents?
• Financial Hardship: Should there be clearer, fairer support for owners struggling with OC fees?
• Manager Conduct: Are OC managers being held to high ethical and professional standards?
• Dispute Resolution: Can VCAT and mediation be improved to resolve issues faster and cheaper?
• Collective Sales: Should unanimous agreement still be required to sell an entire building?
• Voting Rules: Are reforms reducing proxy farming and making decision-making more democratic?

Why Now?

This review responds to long-standing concerns from OC owners about how their communities are managed. Issues like unclear governance, inconsistent enforcement, and limited support during financial hardship have highlighted the need for a more balanced and transparent framework that works for everyone in a shared development.

What Could Change

Depending on the outcomes, we could see:

• Payment Plans: Clearer hardship policies for owners doing it tough.
• Better Oversight: Stronger checks on OC managers and their conduct.
• Faster Resolutions: More accessible ways to resolve disputes without legal battles.
• Fairer Voting: Reforms that ensure every owner’s voice counts.
• Short-Stay Control: Greater power to restrict disruptive rentals in your building.
• Sale Safeguards: New rules around selling entire buildings, protecting owners who want to stay put.